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1420. Statement of Activities. (L014-3) The Atkins Museum recently hired a new controller. His experience with managerial accounting and strong communi- cation skills were extremely

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1420. Statement of Activities. (L014-3) The Atkins Museum recently hired a new controller. His experience with managerial accounting and strong communi- cation skills were extremely attractive. The new controller sent each member of the Board of Trustees' Finance Committee a set of the financial statements one week before the monthly meeting for their review. The set included the following statement of activities. THE ATKINS MUSEUM Statement of Activities For the Year Ended June 30, 2020 (in hundreds of dollars) Public Abstract Exhibits Exhibit Mgt. & General Total $ 61,400 478.800 0 540.200 $50,000 O O 50,000 $ 0 $111.400 0 478.800 2.500 2.500 2.500 592,700 Revenues Contributions Charges for services Interest income Total revenues Expenses: Salaries and wages Occupancy costs Supplies Equipment Travel and development Depreciation Interest Total variable expenses Allocated management and general expenses Total costs Excess of revenues over expenses 381.900 38,100 7.100 5,000 2,800 12,000 0 446,900 85,300 532,200 $ 8.000 24,700 12,000 2.300 0 0 1,500 44,200 14.900 8,300 6.500 6.900 6,300 3.700 90,800 190,800) 450.800 65,000 17.700 11.500 9.700 19,800 3.700 578.200 0 578 200 $ 14,500 40,500 5,500 46,000 $ 400D $ 2.500 Other information: The management and general expenses are first allo- cated to the programs to which they directly relate; for example, the executive director's salary is allocated to the Public Exhibit Program according to the percentage of time spent working on the program. Remaining unallocated management and general expenses are allocated to the programs as indirect costs based on the relative amount of salaries and wages to total salaries and wages for the programs. Required As a member of The Atkins Museum's Board of Directors Finance Committee, review this statement and answer the following questions: a. Is the statement in proper form according to FASB standards? b. What questions do you have for the controller? c. The Atkins Museum would like to open an Impressionists exhibit. If its operating expenses are expected to be similar to those of the Abstract Ex- hibit, how much should the organization solicit in contributions or grants to cover the full cost of the program? d. If you were a potential contributor to the Atkins Museum, do you think you have enough information from this statement on which to base your deci- sion to donate

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